"Why Is the Price of XRP Not Mooning? Software Engineer Lists 7 Main Reasons"

In a post on X, software analyst Vincent Van Code recently provided a detailed answer to the frequently asked question: "Why hasn't the price of XRP skyrocketed?" In his post, Vincent acknowledged some of the reasons often cited by the cryptocurrency community for the sluggish price volatility of XRP but dismissed them as speculative explanations that are ultimately invalid. Instead, Van Code reiterated the long-term outlook for XRP, describing it as a strategic investment rather than a short-term trade.

Investor concerns surrounding regulations, supply, and sentiment According to Van Code, regulatory uncertainty remains one of the most referenced explanations by investors. Although the lawsuit by the (SEC) against Ripple is nearing resolution, the lingering legal implications and the possibility of further penalties still leave some investors hesitant. Van Code stated that this concern is unreasonable given the current valuation of XRP as he believes that the fundamental issues have been resolved and valued. Another argument that has been raised, as noted in his post, relates to market dynamics. He points out that global concerns such as trade wars, competitive pressure from stablecoins and alternative tokens, and Bitcoin's continued dominance in the cryptocurrency market all contribute to pushing XRP down despite recent developments. Van Code lists this as part of public sentiment, but again reiterates that such external comparisons are speculative and do not reflect the actual utility of XRP. He also mentioned the challenges related to tokenomics, pointing out that the circulating supply of XRP, currently around 56 billion, and the monthly release of XRP from Ripple's escrow accounts is often seen as downward pressure. According to the views of many investors, this continuous unlocking of supply may make holding XRP in the long term less favorable due to concerns about dilution. Van Code has opposed this perception, arguing that the impact of escrow disbursement is exaggerated and that the broader market understanding of the use of XRP is evolving. Questions about the Utility and Impact of Infrastructure Development Van Code subsequently referred to recent developments, such as the approval of Hidden Road by the financial industry regulatory authority (FINRA), clarifying that the benefits for XRP are indirect. Since this approval pertains to RLUSD, Ripple's stablecoin, and not XRP, some investors perceive a lack of direct utility. However, Van Code dismissed this notion, emphasizing that such infrastructure developments form an indirect foundation supporting the long-term adoption of XRP. He continued to mention the role of memory and market psychology. Historical volatility, especially during the strong uptrend followed by a rapid correction, has made many investors cautious. Therefore, the confidence to hold XRP beyond modest profit is limited. According to Van Code, this psychological barrier reflects past market behavior rather than current fundamental factors. Similarly, he points out that many investors still cling to past price levels, such as $0.50, and hesitate to participate in the market at higher levels—even when the fundamental factors have improved. Long-term prospects remain solid despite short-term doubts. Ultimately, Van Code dismisses all theories about this investor due to a lack of basis. "Of course, my view is that NONE of these theories are valid drivers of price and demand, and are merely speculative opinions," he writes. He emphasized that XRP has always been regarded as a long-term investment and the strategic role that Ripple envisions for this token requires time. Now that the SEC lawsuit has concluded and what he calls a "favorable trend" is beginning to take shape, Van Code expects to see significant progress and development in the coming months. He concluded by urging investors to view XRP as a long-term asset. Calling it a "buy and hold" token, he argued that those waiting for short-term catalysts may misunderstand the value proposition of XRP. According to Van Code, Ripple's efforts related to XRP have been ongoing for many years, not just months, and the market should adjust its expectations accordingly.